Deutsche Bank Raises Micron Price Target to $500 on Tightening DRAM Supply

SelfRugger

2026-02-22 14:14:20

Deutsche Bank Raises Micron Price Target to $500 on Tightening DRAM Supply

Sajjl Nooranne

Sun, February 22, 2026 at 9:24 PM GMT+9 2 min read

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On February 10, Deutsche Bank raised its price target on Micron Technology, Inc. (NASDAQ:MU) to $500 from $300 and maintained a Buy rating, citing tightening DRAM supply conditions and elevated memory pricing. The firm projects that industry shortages could persist through 2027 and into 2028, fostering a structurally more favorable profitability environment for memory manufacturers.

In its fiscal first-quarter 2026 earnings call, Micron Technology, Inc. (NASDAQ:MU) reported revenue of $13.6 billion, up 21% sequentially and 57% year over year, marking its third consecutive quarterly revenue record. Gross margin expanded to 56.8%, an 11-percentage-point sequential improvement, and the company generated record free cash flow of $3.9 billion. All business units achieved record revenue levels, including Cloud Memory at $5.3 billion, Core Data Center at $2.4 billion, Mobile and Client at $4.3 billion, and Automotive and Embedded at $1.7 billion. Robust demand across end markets, combined with margin expansion and strong cash generation, positions Micron to benefit disproportionately from sustained supply constraints and secular AI-driven memory demand.

Headquartered in Boise, Idaho, Micron Technology, Inc. (NASDAQ:MU) is a leading U.S. semiconductor manufacturer specializing in DRAM, NAND flash memory, and solid-state storage solutions, serving data center, AI, automotive, and mobile markets.

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